Wichita, Kan.-based Spirit AeroSystems Holdings Inc. has initiated a process to divest its Oklahoma operations, which includes sites in Tulsa, Okla. and McAlester, Okla. as part of the broader strategic and financial review announced by the company in May 2013. To divest the Oklahoma sites, Spirit AeroSystems has engaged the services of an investment banker to represent the company.
Spirit AeroSystems management also announced the company will postpone the second quarter earnings release and filing its quarterly report on Form 10-Q. Related to the second quarter financial statements, the company's auditors have not completed their review. The company will file a notice on Form 12b-25 with the SEC to report the delayed filing and plans to reschedule a full earnings report once the review is complete.
Spirit AeroSystems, one of the world's largest non-OEM designers and manufacturers of aerostructures for commercial aircraft, expects to report that second quarter 2013 revenues were $1.521 billion, up 13% from $1.341 billion for the same period of 2012, driven by higher production volumes and non-production revenues. Total operating performance also improved year over year excluding charges while backlog increased by $2 billion to $38 billion.
Additionally, the company expects to record between a $350 million to $400 million pre-tax charge related primarily to the Gulfstream business jet programs. The charge is primarily related to forecasted cost growth in the Wing segment in the years 2014-2021 with minimal cash flow impact in the current period. Excluding the charge, the company expects to report second quarter 2013 financial results reflecting continued strong demand for large commercial aircraft and strong mature program operating performance.
To address the charges in the quarter, the company has amended its senior secured loan and credit facility to suspend the existing financial covenants through the fourth quarter of 2014, after which time the financial covenants will again apply. During this period, the company will be subject to a liquidity covenant and any draws under the revolving credit facility will be subject to borrowing base limitations. No event of default has occurred.
A company spokesman indicated there will be a regular earnings release call concurrent with a full earnings release announcement at a date to be announced.